3. Evaluating your resources/strategic diagnosis

Learning Objective

Firstly, this unit will explain some specific points regarding Social Enterprises Management. Further on the curse will look at the organizational environment which outlines all the environmental factors that can significantly influence your company operations. It will help you understand what happens both inside and outside your company and it will provide suggestions and methods on how to integrate environmental analysis into your business strategy. In order to perform an environmental analysis, managers must first understand how organizational environments are structured.

Estimated Time

I It should take you around 90 minutes to complete this unit.

Introduction

Although a Social Enterprise needs specific managerial skills, the basic knowledge remains the same as for traditional SME. This is why it is important that you not only know the internal environment of your company extremely well, but that you are also able to analyse the business processes and the organizational and hierarchical structure of your company, as analysis is the first step towards improvement. Break-even analysis and Cost-benefit analysis are techniques that focus on your company, your suppliers and your customers, while Benchmarking and SWOT analysis techniques will give you insight into your competitors. The external environment is a crucial factor that determines to a great extent the success of your company. You have to fulfil customer expectations, while on the other hand suppliers must provide you with important resources. Technology is the driving force behind your processes and your competitors want to expand their market shares at the cost of your company. Porter’s Five Forces model will help you analyse all stakeholders and your company position in terms of the competition. Strategic groups are another, more detailed way, to observe your company’s position with regards to market competition.